Chennai based agtech startup WayCool has raised Rs 120 crore (about $17 million) in equity and debt from LGT Impact, prominent angels, and institutional lenders, including Northern Arc Capital and Caspian, per an announcement on Tuesday.
The funds will be used by the Chennai-based startup to further scale up operations across southern and western India, bolster its technology platform and reinforce its supply chain by building or acquiring assets and capabilities in sourcing, value-added products, and automation of distribution lines, it said in a statement.
Set up in July 2015 by Karthik Jayaraman and Sanjay Dasari, WayCool Foods is a food distribution platform leveraging technology to scale up and operate a supply chain. The company claims to operate a full-stack product range across multiple channels and categories like fresh produce, staples and dairy serving over 4,000 clients.
Commenting on the capital raise, WayCool co-founder Sanjay Dasari said, “Along with rapid growth, we have always been committed to profitability, and almost all of our business lines are operationally profitable. We had committed to open and operate 3 locations after our last institutional fund raise – we are currently operating in 13 locations.”
WayCool had last raised $2.7 million from Aspada in 2017. “The company has scaled 20x since the last round of funding with judicious use of capital,” said Aspada managing partner Kartik Srivatsa.
WayCool competes with the likes of CroFarm, Kamatan, NinjaCart, Jumbotail, Lemon Leaf, and Farm Taaza. Recently, Crofarm reportedly secured $500,000 funding from a clutch of investors including former HT Media strategy chief Vinay Mittal, Ramit Sethi from Strongbox Ventures and other HNIs. In December last year, NinjaCart raised $35 million (Rs 250 crore) in a Series B funding round led by Accel Partners (US) and Switzerland-based Syngenta Ventures.
Veda Corporate Advisors acted as the financial advisor to WayCool for the fundraising.